Global market Study on Seasonings and Spices: CAGR Estimated at 4.8% over 2014-2020, Europe and APAC to Continue Dominance

Increasing globalization has a number of impacts of a variety of industries across the globe. One of them is food and beverages. As penetration of exotic foods and beverages has been at its peak since the past decade, the spices and seasonings sector is gaining a strong impetus prompting at a momentous market in the next few years. Persistence Market Research recently published a report on the global seasonings and spices market, for a six-year forecast period 2014-2020. The report provides in-depth analysis of the market status, size, revenues, shipment values, growth rates, and prospects over the forecast period. The report, beginning with a general overview of the market, further features the key factors that are likely to impact the market condition.

The drivers section comprises key positive factors that are expected to drive the market growth, directly or indirectly. The restraints section includes the key factors that may negatively influence the market growth during the six-year period. Apart from this, the report also offers valuable data on recent trends that are currently driving the market for seasonings and spices. The next part of the report throws light on a few remarkable opportunities that may turn into profitable ventures during the forecast period. The report, in its next section, examines the key market segments based on the product types. It covers each of the segments and sub-segments in detail, providing extensive data about the market position in each of them.

In the next part of the report, regional analysis assesses the key geographies of the global seasonings and spices market. An exhaustive analysis of North America (U.S.), Europe (France, Germany, Italy, the U.K., and Spain), Asia-Pacific (India, China, Japan, and Australia), and rest of the world (Brazil) includes their historical and estimated market sizes, revenues, and market shares. In the key market players section, the report covers the competitive landscape global seasonings and spices market, including leading companies’ market share in each region, business strategy, growth pattern, and the market share of major distribution channels.

Research Methodology

To deduce the global seasonings and spices market size, the report considers various aspects based on secondary research. Furthermore, key data points such as region-wise split and market split by product type, vehicle type, and distribution channel; and qualitative inputs from primary respondents have been incorporated to arrive at appropriate market estimates. The forecast presented in the report assesses the total revenue generated and expected revenue contribution in the global seasonings and spices market.

The report begins with sizing the market in terms of value and volume for the base year, which forms the basis for forecasting how the market is anticipated to take shape in the near future. Given the characteristics of the market, gathered data is triangulated via different analysis based on supply side and demand side drivers and other key dynamics of the global seasonings and spices market. To develop the market forecast, Persistence Market Research has also conducted a factor analysis to understand the impact of various forces/factors on the target market. The report provides forecasts not only in terms of CAGR but also presents a detailed analysis based on key parameters such as Year-on-Year (Y-o-Y) growth to understand market predictability and to identify the right opportunities.

Another key feature of this report is an analysis of the global seasonings and spices market and the corresponding revenue forecast in terms of absolute dollar opportunity, usually overlooked while forecasting the market. However, absolute dollar opportunity is critical in assessing the level of opportunity that a provider can look to achieve, as well as to identify potential resources from a sales perspective in the global seasonings and spices market. Further, to understand key segments in terms of their growth and overall global seasonings and spices market performance, Persistence Market Research has developed a market attractiveness index to help providers identify existing market opportunities in the global seasonings and spices market.

Seasonings and spices are essentials in every cuisine, as they offer a unique aroma and peculiar taste to each cuisine. The seasonings and spices market is one of those markets, which stay recession proof in the long run. Growing popularity for exotic food and rising demand for exquisite spices and seasonings for in-home culinary preparations will continue to drive the global seasonings and spices market over the six-year forecast period, 2013-2019. The global market for seasonings and spices is anticipated to reach a value of US$ 16.62 Bn in 2019, up from US$ 12.53 Bn in 2013. The market will expand at a moderate CAGR of 4.8% over the forecast period.

Key Market Dynamics

Rising popularity of exotic cuisines and increased expenditure on food will remain a key factor driving the growth of the global seasonings and spices market. Globalization is rapidly swaying the market with higher penetration of indigenous spices and seasoning products worldwide. There are various types of pepper, such as Marjoram and Anaheim, which are specifically grown in Southern Europe and Mexico respectively. Developing nations in the Asia Pacific region will continue to raise significant demand for such spices. Another factor that is expected to favor the market growth in emerging economies, is rising popularity of Western foods. Changing consumer food habits and an increasing number of dedicated restaurants for Thai, French, and Italian food are a few more factors fueling the demand for spices and seasonings on a global level. Growing popularity of organic spices and seasonings is expected to continue trending by the end of 2020, boosting the revenues of the global market. Organic segment is currently at a nascent stage, and will offer lucrative growth opportunities. Certain spices and herbs even find important application in the medical therapy field. This also is a promising factor that can potentially propel the demand.

Certain government policies prohibit specific imported spices and seasonings. The market in developing economies will continue to face this challenge during the forecast period. Moreover, uncertain economic conditions and inefficient logistics may also affect the market growth in the next few years. Ever-evolving climatic conditions also impact the market to a large extent.

Segment Analysis

The global seasoning and spices market is segmented on the basis of product type. There are four key segments viz. salt and salt substitutes, pepper, herbs, and spices. The salt and salt substitutes segment recorded the highest revenue share in 2012, and is expected to register steady growth by 2019 end, at a CAGR of 4.3%. The salt and salt substitutes segment is anticipated to reach a shipment of 369.2 million kg by the end of 2019.

Regional Segmentation

Geographically, the global seasonings and spices market is segmented into four key regional markets. While Europe has been representing the largest market for spices and seasonings over the years, Asia Pacific has also developed into a key market within the recent past. A few countries in Asia, including India, are among the top producers of a variety of spices and seasonings, and the market in Asia Pacific is anticipated to thrive close to the European market during 2014-2020. Several food application segments across APAC also create sustainable demand for spices and seasonings in bulk. These two key regions will retain their dominance in the global seasonings and spices market, whereas the market in the U.S. is projected for an uptick, attributed to the consumer inclination toward hot and spicy cuisines. The most sought after products are observed to be jalapeno, pepperonicini, and poblano peppers.

Key Market Players

The global seasonings and spices market is growing at a moderate pace but has been extremely fragmented. Despite a number of established international and domestic brands, the market has only six leading companies collectively holding a market share of nearly 15%. While this was the scenario in 2012, the competitive landscape and positions of individual shareholders are estimated to improve over the forecast period. McCormick will remain the market leader, followed by Unilever. There are a few brands that operate only in specific regional markets. While S&B Foods operate only in Japan, it has over 40% of the revenue share in the Japanese market for spices and seasonings. Moreover, Everest was active only in the Indian market but has now extended in North American and European markets as well.

Some of the major players in the seasonings and spices market:

McCormick & Company.

Nestle.

Ajinomoto.

Everest Spices.

Catch.

MDH Spices.

Knorr.

Kraft Foods.

Other.

Also, some of the major distribution channels in seasonings and spices market are supermarket and hypermarket, food and drink specialists and convenience stores. The company profiles include attributes such as company overview, product and segments, financial performance, and strategic developments.